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assumption definition - finance
The act of taking responsibility for another person or corporationÂ’s liabilities. For example, a mortgage may be assumed by another buyer. In this case, the seller remains secondarily responsible for the mortgage payment unless the seller is relieved of those responsibilities by the lender.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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